Swordfish

Anyone have the numbers on the 2007 leases yet?

Residuals, Money Factor?

I had a dealer quote me $680 month with $1500 total out of pocket and 15/miles per year for 36 months.

That was on a 44k msrp IS350.

Swordfish

Just had antoher local dealer get back to me with $650 a month with tax on a 42k msrp, same info as the above lease.

Dealer are trying to get people to put more $$ down to get the payment lower... not a good idea...

Swordfish

Any Late 2006 Lease Offers coming through?

IRCRomeo

I've never leased before. Why is it a bad idea?

IS350spBLK

All i got to say is that the payment on that scenario is way too high, should be down around 585 with taxes.

cdiddy

because youre like renting the car. all the money you put in will be for nothing. if you lease for a year, it would cost u like $9,000 and its not yours to keep.

Swordfish

I meant it is a bady idea to put alot of cash down on a lease. If you were to total the car, you would not get that down payment back.

When leasing you should try to put as little money out of pocket.

Always go into the dealership and negotiate the price of the car first. NEver tell them you are leasing or buying up front.

Get the total cap cost as low as possible. You can then calculate your payment based on current money market rate and residual value of the car.

Swordfish

I agree.. based on the residual and money market I got from the guys on this site..

The payment with tax should be in the $575 range.

dstopsie

Hi Swordfish, if you go to Lexus website, under finance they have a lease payment estimator. You can put in the numbers for the car and get an estimate what your lease payment should be. Check it out and let us know what you come up with.

15951

On a loaded IS350? No. High $500s is VERY good on a loaded IS, and low to mid $600s is average in Florida. Of course, this changes if you put a bunch of money down.

I'm so tired of the misinformation and backwards thinking on leases. People get their panties in a bunch because they never "own" a leased car, but then they plunk down a bunch of cash, pay larger amounts monthly, and trade a car in after 3-4 years for a loss. I walk away from my lease with nothing owed, period.

In my opinion, buying only makes sense if you're modding the hell out of your car, and you plan on keeping it well past payoff. If you like a new car every 3-4 years and you're not leasing, you're throwing away a lot of money in the name of "owning". By the way, unless you're paying cash for your car, the bank owns it for the term of your financing.

dstopsie

I agree, first and foremost the most important thin when you are leasing a car is the money factor and the residual on the car. Price doesnt matter when you are leasing. I never negoiate the price of a car when leasing. I want to know the money factor and the residual on the car. Your credit is also a factor on how much your payment is. A poor credit score can cost you $15-20 more on your monthly payment. I have leased cars for the past 12 years and while I will never own the car, I dont see putting down a hunk of cash in an asset that depreciates 50% by the time you drive it off the lot.

I always request my payment with minimum drive off fees. When you put down a hunk of cash on a lease all you are doing is reducing your monthly payment. It is unnecessary to do this. I find the lease payments discussed here of 575-680 on a $44K car unreasonable with $1500 down.

Swordfish

There is really no negotiating the Money Factor and Residual of a car. IT is what it is. You should know these figures before going intot he lease, because dealers will try to stiff you.

YOU SHOULD negotiatin the "Captitalized Cost" .. the price you are paying with all the options, fees, etc. The dealer does not need to know you are leasing or buying this car. The lower the cap cost, the lower your payments will be with everything else remaining constant.

I also agree that $575-$680 payments are soft of unreasonable on a 44k car. You can get a 50k beamer or benz for less that per month. But it is was it is. We all want the is350's, so will have to pay for it.

I also will only lease. 36 months - 15k/miles/year - Got to have new car every 3 - 4 years... Its the only way i dont have to worry about selling the car, taking the big depreciation hit when driving off lot, out of pocket repairs,etc.

Anyone that is leasing a 2007 and care to post the residual and money factor on your lease? Thanks

ICSFSEDoD

OR, if you put over 15k/year on the car. I put 20k-25k/year on my cars, so a lease would eat me alive in mileage charges.

Swordfish

Ya leasing is not a good option than.

KKelly

That depends on the deal. A lease is the interest rate on the purchase price and the depreciation from the price to the residual at turn in divided by the months of the lease. Pretty simple formula. So, you are paying depreciation and interest on the full purchase price monthly (I believe interest is on the full price for the term of the lease but I could be wrong). If you buy and finance, you simply add up your interest payments plus depreciation for the lease period to compare prices. Cars depreciate a lot in the first four years. However, every once in a while you can get lucky. My friend leased a Mini Cooper 2 years ago, bought it at the end of the lease and sold it for $6k more than his buyout. :-) He bought an IS.